“Our cash generative business model underpins our decision to announce a $400 million special dividend and to propose an 11 per cent increase in the total dividend for the year.

“We continued our focus on enhancing the long-term sustainability of our competitive advantage by evolving our brand portfolio and by driving innovation in our digital and loyalty offer.

“We rolled out new formats across our Holiday Inn Brand Family which deliver significant uplifts in guest satisfaction and improved returns for owners, built momentum for our Hualuxe and Even Hotels brands, and took Kimpton Hotels & Restaurants and Hotel Indigo into new markets.

“The fundamentals for the hospitality industry remain compelling.

“Despite the uncertain environment in some markets, we remain confident in the outlook for the year ahead, as well as our ability to deliver sustainable growth into the future.”

IHG will return $400 million shareholders via a special dividend with share consolidation, to be paid in quarter two of this year.

Total returns since 2003 now stand at $12.8 billion, nearly $5 billion of which is from underlying operations.